I wrote a post a few weeks ago about something a mate of mine was involved in and was trying to rope me in to joining. I was curious and looked it over and why I asked if anyone on here had heard of them as it looked to good to be true. I was not tempted and had more concern for his family who were all involved.
I spoke with him this morning and he was a little down as his Bitcoin has gone along with the company. I had warned him saying I wasn't getting involved as it just looked like a scam. He has lost around $5000 plus his wives account of $500 and his daughter had $15000 invested. There were thousands of accounts just like his and along with the company directors who are left with nothing.
I told him that as soon as Bitcoin rose in value it would be gone and two weeks he tried to withdraw his money and all of a sudden there is a problem. After two large investors failed to claim their funds their was a court ruling and the company has been placed in liquidation.
The head of the company has fled the country and no doubt has a full wallet of BTC valued in the $10's of millions. In my eyes a bounty should be put on his head as making an example of these types of individuals needs to happen. There is no real deterrent right now and a majority seem to get away with this type of crime. The beauty about crypto is it is easy to move and carry on yourself in the form of a cold wallet. We often here not your keys not your coins and this is so true. You have to be in control of your wallet at all times as otherwise you are open for this type of behavior.
I know him well and he unfortunately has a greedy streak which he would openly admit to. After I warned him he said he would take it into consideration and he still thought it was legit and not a ponzi scheme.
These things give crypto a bad name and they are all too common as the masses learn the hard way. This to me is all too easy as who would give you 125 returns every month. If you were trading then yes you could probably make more and I am sure many do as 12% is not that much considering. Bitcoin had risen over 1000% this year so juts buying and holding in a cold wallet is far safer than doing some stupid scheme.
I am going to have coffee with him on Friday and it should be interesting to hear the details. I don't like I told you so moments and maybe he will listen to me in the future. I still have my Hive and Leo and now he has nothing and the one I feel sorry for the most is his daughter who was obviously influenced by daddy.
He would have made commission of her as that what these schemes do by paying out a referral and a percentage on all trades they do.
Maybe 5 years ago I would have fallen for a scheme like this, but not today as I am wiser and smarter seeing things for what they are. The masses need to learn the hard way before they start to understand what is and what isn't possible in the crypto world.
I just checked and they had a reported 280 000 members involving more than 17 000 Bitcoin. The bitcoin bought was sent to a wallet controlled by one person and that is the person who has fled. How dumb are people and how dumb are the directors to all not have part of the wallet code and not just with one person. They were reckless and I blame them all for not understanding what crypto is.
